Wage Garnishment: Your Rights
When a court issues a judgment against you, your creditor may request the court to permit them to take the money owed from your pay cheque, your bank account or the money owed to you by others. This process is called “garnishment”. In the case of wage garnishment, your creditor will give your employer a garnishee summons, requiring that your employer pays a portion of your wages to the court which will, in turn, pay your creditors until your debt is paid in full.
If your employer receives a garnishee summons, either your employer or your creditor will give you a copy of the summons within 15 days of receipt.
Will All Your Wages Be Taken?
No, you will be permitted to keep enough of your monthly wages for basic expenses. If you have no dependents, the minimum exemption is $800 and the maximum is $2,400 per month (after taxes). Your creditors can take up to half of your income between $800 and $2,400 and all of your income above $2,400. If you have dependents, the minimum and the maximum exemption are increased by $200 for each dependent.
Could You Be Dismissed by Your Employer?
Provincial laws do not permit employers to dismiss employees because their wages are being garnished.